Combining a nascent but growing TVOS business primarily situated in Europe with an entrenched North American and Latin American IPTV business, the Xperi-owned TiVo One cross-screen advertising platform expanded its monthly active user base by more than 30% in just one quarter, reaching 4.8 million users at the end of Q3.
Xperi projected that TiVo One would surpass 7 million MAUs in 2026, and with the sequential growth from Q2 it appears on its way. Coinciding with Q3 earnings, Xperi also announced that it added one more Asia-based smart TV maker, bringing another European-situated TV brand into the TiVo operating system and marking its tenth TVOS customer.
“The continued growth of our footprint is instrumental for us to reach larger scale in the U.S. and the larger European countries as we work to expand monetization of the installed base,” Xperi CEO John Kirchner told equity analysts during the company’s Q3 call Wednesday.
In fact, things are going so well with the development of TiVo One, according to Kirchner, the company has started disclosing average revenue per user — $8.75, as it stands now. Kirchner told equity analyst that Xperi wants this ARPU figure above $10 by the end of the year.
Xperi defines a TiVo One MAU as a unique device that has connected to the TiVo video service, which includes the ads platform, at least once within the last 30 days. The TiVo One advertising platform integrates with the device’s operating system on certain “Powered by TiVo” devices, including smart TVs and video-over-broadband products.
Meanwhile, in the in-car entertainment portion of Xperi’s business, the company said its AutoStage platform has been deployed into 13 million vehicles.
Xperi saw challenges in the third quarter, too — for one, revenue came in at $112 million, which beat forecasts, but represented a 16% year-over-year decline This wasn’t a surprise, according to Kirchner, noting that the third quarter of 2024 “included a large minimum guarantee arrangement with Panasonic in our pay-TV business.”
Xperi also disclosed the layoff of 250 workers, part of “a restructuring plan to improve cost efficiency and better align our operating structure with our long-term strategies and current market conditions.” Xperi started the year with around 1,680 employees. It said it will incur a one-time restructuring charge of $16 million - $18 million related to the job cuts.
Returning to TiVo One, the bulk of the user base is in the Americas, where IPTV subscribers grew by 32% YoY to 3.2 million households. Revenue from IPTV was up 18% YoY to $4 million, with Xperi renewing an important contract with the National Content and Technology Cooperative, a large co-op that represents smaller U.S. cable operators.
As for the TVOS side of the business, Kirchner said that in the U.S., Xperi is now working with another OEM partner beyond Sharp. “A second brand partner is in production and expected to deliver TVs powered by TiVo to certain U.S. retailers before year-end,” he said. “We expect U.S. distribution of smart TVs powered by TiVo to scale next year and represent national coverage by the second half of 2026.”
Finally, Kirchner addressed a notable change — last month, Xperi disclosed that it would stop manufacturing the groundbreaking product that built TiVo’s brand, digital video recorders.
“We’re closing one innovative and industry-changing chapter in the company’s history,” Kirchner said. “The TiVo brand will continue to empower consumers to find, watch, and enjoy the content they love on innovative video over broadband and smart TV solutions.”